S-4139               _______________________________________________

                                                   SENATE BILL NO. 6653

                        _______________________________________________

State of Washington                               51st Legislature                              1990 Regular Session

By Senators Kreidler, Metcalf and Benitz

Read first time 1/19/90 and referred to Committee on  Environment & Natural Resources.

AN ACT Relating to excise taxation of core deposits; amending RCW 70.95.610, 70.95.630, 70.95.640, and 82.04.070; and declaring an emergency.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

        Sec. 1.  Section 37, chapter 431, Laws of 1989 and RCW 70.95.610 are each amended to read as follows:

          (1) No person may knowingly dispose of a vehicle battery except by delivery to:  A person or entity selling lead acid batteries, a person or entity authorized by the department to accept the battery, or to a secondary lead smelter.

          (2) No owner or operator of a solid waste disposal site shall knowingly accept for disposal used vehicle batteries except when authorized to do so by the department or by the federal government.

          (3) Any person who violates this section shall be subject to a fine of up to one thousand dollars.  Each battery will constitute a separate violation.  Nothing in this section and RCW 70.95.620 through 70.95.660 shall supersede the provisions under chapter 70.105 RCW.

          (4) For purposes of this section and RCW 70.95.620 through 70.95.660, "vehicle battery" means batteries capable for use in any vehicle,  having a core consisting of elemental lead, and a capacity of six or more volts.

(5) "Core deposit" means a refundable amount, separate and distinct from the sales price paid by the purchaser, received by the seller for the purpose of inducing the return of used products such as batteries, starters, brakes, and other products for the purposes of recycling, reuse, or remanufacturing.

        Sec. 2.  Section 39, chapter 431, Laws of 1989 and RCW 70.95.630 are each amended to read as follows:

          A person selling vehicle batteries at retail in the state shall:

          (1) Accept, at the time of purchase of a replacement battery, in the place where the new batteries are physically transferred to the purchasers, and in a quantity at least equal to the number of new batteries purchased, used vehicle batteries from the purchasers, if offered by the purchasers.  When a purchaser fails to provide an equivalent used battery or batteries, the purchaser may reclaim the core ((charge)) deposit paid under RCW 70.95.640 by returning, to the point of purchase within thirty days, a used battery or batteries and a receipt showing proof of purchase from the establishment where the replacement battery or batteries were purchased; and

          (2) Post written notice which must be at least eight and one-half inches by eleven inches in size and must contain the universal recycling symbol and the following language:

          (a)  "It is illegal to put a motor vehicle battery or other vehicle battery in your garbage."

          (b)  "State law requires us to accept used motor vehicle batteries or other vehicle batteries for recycling, in exchange for new batteries purchased."

          (c)  "When you buy a battery, state law also requires us to include a core ((charge)) deposit of five dollars or more if you do not return your old battery for exchange."

        Sec. 3.  Section 40, chapter 431, Laws of 1989 and RCW 70.95.640 are each amended to read as follows:

          Each retail sale of a vehicle battery shall include, in the price of the battery for sale, a core ((charge)) deposit of not less than five dollars.  When a purchaser offers the seller a used battery of equivalent size, the seller shall omit the core ((charge)) deposit from the price of the battery.

        Sec. 4.  Section 82.04.070, chapter 15, Laws of 1961 and RCW 82.04.070 are each amended to read as follows:

          "Gross proceeds of sales" means the value proceeding or accruing from the sale of tangible personal property and/or for services rendered, without any deduction on account of the cost of property sold, the cost of materials used, labor costs, interest, discount paid, delivery costs, taxes, or any other expense whatsoever paid or accrued and without any deduction on account of losses.  "Gross proceeds of sales" shall not include core deposits, as defined in RCW 70.95.610, received at the time of sale at retail or wholesale.

NEW SECTION. Sec. 5.     This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and shall take effect immediately.